si Shares as donated capital when subsequently sold will increase the shareholder's equity by the total par value of the donated capital. S2 When shares are acquired as treasury shares, these will reduce the number of issued shares, a. Both statements are true b. Both statements are false c. One statement is true, and the other one is false
si Shares as donated capital when subsequently sold will increase the shareholder's equity by the total par value of the donated capital. S2 When shares are acquired as treasury shares, these will reduce the number of issued shares, a. Both statements are true b. Both statements are false c. One statement is true, and the other one is false
Intermediate Accounting: Reporting And Analysis
3rd Edition
ISBN:9781337788281
Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Chapter15: Contributed Capital
Section: Chapter Questions
Problem 8MC: When treasury stock is purchased for cash at more than its par value, what is the effect on total...
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![S1 Shares as donated capital when
subsequently sold will increase the
shareholder's equity by the total par value
of the donated capital. S2 When shares
are acquired as treasury shares, these will
reduce the number of issued shares,
a. Both statements are true
b. Both statements are false
c. One statement is true, and the other one
is false](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F0d2e4a31-3cd1-48ab-a4fd-d7ca3506ffea%2F8a4f4a53-51d9-4874-a01f-6030454142d7%2Fo0buwjb_processed.jpeg&w=3840&q=75)
Transcribed Image Text:S1 Shares as donated capital when
subsequently sold will increase the
shareholder's equity by the total par value
of the donated capital. S2 When shares
are acquired as treasury shares, these will
reduce the number of issued shares,
a. Both statements are true
b. Both statements are false
c. One statement is true, and the other one
is false
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